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DON'T BE AFRAID TO INNOVATE Break Down The Fiefdom.(LEADERS & SUCCESS)(IBD'S 10 SECRETS TO SUCCESS)

Investor's Business Daily

| December 01, 2004 | COPYRIGHT 2004 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: Amy Alexander

8 In medieval times, lords ruled distinct fiefdoms, steering industry in little corners of the kingdom, fiercely defending the hedgerows that sealed them from the outside.

These days, you can Instant Message someone in Taiwan from your bungalow in the Bahamas. But, in corporate halls, fiefdoms -- areas ruled by one person or department -- often still thrive like the plague.

"To a greater or lesser extent, fiefdoms have been part of every organization I've ever encountered," said Robert J. Herbold, former chief operating officer of Microsoft, whose recent book, "The Fiefdom Syndrome," puts corporate fiefdoms under a lens.

Along with making companies clunky, fiefdoms can eat away at innovation. Why? Those who inhabit fiefdoms usually see no reason to shake the status quo.

"They (fiefdoms) often come about because one very smart or successful individual wants to do things his or her way," said psychologist Carl Robinson, Ph.D., principal with Advanced Leadership Consulting in Seattle.

If you smell a fiefdom in your firm, don't despair. Even the greatest companies have wrestled with them, Herbold notes.

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